Accounting 1 – 2/27/08

Objective

  • Analyze changes in an accounting equation that affect accounts for a service business organized as a proprietorship.

I.  Bellwork

A.  For each transaction below identify each account that is affected and whether it increases (+) or decreases (-)

  1. Owner invested $5000.00 in the business
  2. Bought supplies for $50.00
  3. Made a sale on account to Hale Company $230.00
  4. Made a sale for $300.00
  5. Owner withdrew $50.00
  6. Hales Company paid $120.00 on account.

II.  Quick Review

III.  Chapter 2 Test


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